EXMIN Resources Inc.
TSX VENTURE : EXM

EXMIN Resources Inc.

August 30, 2005 09:00 ET

EXMIN Resources Inc.-Phase II Drill Program Hits High-Grade Gold and Confirms Bulk Potential at Reyna de Oro: Hole R16 Cuts 3.0 Metres of 25.41 g/t Au and R15 Cuts 22.9 Metres of 2.94 g/t Au

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 30, 2005) - EXMIN Resources Inc. (EXMIN) (TSX VENTURE:EXM) is pleased to report results from ongoing Phase II drilling at its 100% owned Reyna de Oro property in Chihuahua, Mexico. A total of 11 reverse circulation holes for approximately 1,500 metres were drilled, from 1 June through 31 July, 2005, bringing EXMIN's total drilling at the project to 2,200 metres in 22 holes. See Table 1 for highlights of the Phase II program to date.

Hole R16 cut an interval of 13.7 metres grading 7.85 grams per tonne (g/t) gold (Au) and 7.2 g/t silver (Ag), which includes 3.0 metres of 25.41 g/t Au and 20.3 g/t Ag. Hole R15 cut 22.9 metres grading 2.94 g/t Au and 6.6 g/t Ag, including 9.1 metres grading 6.49 g/t Au and 8.7 g/t Ag.

The goals of the planned and budgeted 5,000 meter Phase II drill program are to test the extension of mineralization which remains open down-dip and along strike and to generate sufficient data to support calculation of a resource estimate. Phase II drilling continues to confirm the presence of high-grade gold occurrences within the large bulk tonnage target that was identified by the Phase I reverse circulation drilling program conducted in 2004, by then private EXMIN, Inc. (See Table 2 for Phase I drill results)

The Phase II program to date has successfully extended the mineralized stratigraphic horizon over an additional 150 metres in strike length, bringing the total drilled dimensions to 250 metres by 100 metres. New roads and drill pads along strike have been permitted and will be cut as weather allows. A diamond drill should be mobilized to resume Phase II drilling on these new roads and pads in late September.

GEOLOGY

The Reyna de Oro deposit is predominantly stratigraphically controlled and is hosted by intercalated lithic pyroclastic rocks, andesite flow breccia and felsic tuff. High angle structures may locally control mineralization. The mineralized volcanic sequence that hosts the deposit dips moderately to shallowly into the hillside. Mineralized thicknesses are generally about 20-30 metres, and at least two stacked mineralized zones are present. These rocks have been mapped and sampled along strike for nearly 1 kilometer, where anomalous precious- and base-metal grades have been encountered and several high grade vein structures have been identified, as indicated in Table 3.

Numerous other mineralized areas occur on EXMIN's 100% owned, 14,000+ hectare Luz de Oro concessions that surround the Reyna de Oro deposit. Surface reconnaissance is underway, and initial work has shown that the Tertiary volcanic sequence that hosts the Reyna de Oro gold deposit overlies Mesozoic carbonate rocks with local intrusives of intermediate composition. These rocks host much of the precious- and base-metal mineralization in the surrounding region and there remains significant potential for new discoveries from the property-wide exploration program.

QUALITY CONTROL

All drill and surface sample analyses were conducted by ALS Chemex and BSI Inspectorate at their labs in Vancouver and Reno, respectively. EXMIN has instituted a quality control program whereby standard pulps and RC blanks are inserted into the sample stream, and duplicate and second-lab check samples are completed. Dr. Craig Gibson, PhD., Executive Vice President of Exploration, is the authorized professional geologist for EXMIN and the direct manager of all technical programs and information.



Table 1. Summary of Mineralized Intercepts, 2005 Reyna de Oro -
Phase II RC Drill Program

---------------------------------------------------------------------
Interval Intercept Au Ag Cu
Drill Hole (m) (m) (g/t) (g/t) (%) Comments
---------------------------------------------------------------------
---------------------------------------------------------------------

RDO-05-R13 38.1 - 42.7 4.6 5.35 2.4 0.22
includes 39.6 - 41.1 1.5 11.40 4.6 0.28

RDO-05-R15 22.9 - 42.7 19.8 1.84 7.4 0.10
includes 36.6 - 42.7 6.1 3.99 19.8 0.15
57.9 - 80.8 22.9 2.94 6.6 0.64 5 feet with no
recovery
includes 59.4 - 68.6 9.1 6.49 8.7 0.78

RDO-05-R16 0.0 - 15.2 15.2 1.19 1.0 0.08
24.4 - 29.0 4.6 1.29 1.0 0.23
83.8 - 97.5 13.7 7.85 7.2 0.89
includes 86.9 - 89.9 3.0 25.41 20.3 2.26

RDO-05-R21 125.0 - 153.9 29.0 0.93 3.3 0.15
includes 126.5 - 128.0 1.5 6.54 1.4 0.07
includes 147.8 - 153.9 6.1 1.60 4.4 0.49 Ended in zone



Table 2. Summary of Mineralized Intercepts, 2004 Reyna de Oro -
Phase I RC Drill Program

---------------------------------------------------------------------
Interval Intercept Au Ag Cu
Drill Hole (m) (m) (g/t) (g/t) (%) Comments
---------------------------------------------------------------------
---------------------------------------------------------------------

RDO-04-R3 0.0 - 25.9 25.9 4.02 2.9 0.18
includes 0.0 - 10.7 10.7 7.17 3.3 0.09
42.7 - 68.6 25.9 0.91 2.3 0.52
includes 51.8 - 59.4 7.6 2.08 3.3 0.67

RDO-04-R5 18.3 - 50.3 32.0 2.17 1.3 0.42
includes 30.5 - 44.2 13.7 4.05 2.7 0.66

RDO-04-R6 36.6 - 54.9 18.3 6.14 4.1 0.55
includes 45.7 - 53.3 7.6 11.31 6.5 0.68

RDO-04-R7 21.3 - 39.6 18.3 1.37 2.0 0.98 Includes 25 foot
void
includes 21.3 - 29.0 7.6 0.57 0.6 0.08 Before void
includes 36.6 - 39.6 3.0 3.38 4.9 0.15 After void, lost
hole

RDO-04-R8 0.0 - 1.5 1.5 1.37 1.3 0.09
30.5 - 79.2 48.8 1.61 0.4 0.07 Includes three 5
foot voids

RDO-04-R9 0.0 - 9.1 9.1 2.08 1.0 0.13 Lost hole
56.4 - 80.8 24.4 0.93 0.9 0.14

RDO-04-R10 0.0 - 1.5 1.5 0.52 0.0 0.01
21.3 - 54.9 33.5 2.03 4.4 0.27
includes 47.2 - 54.9 7.6 4.80 7.3 0.21



Table 3. Reyna East Extension; Surface and Vein Sample Assays

--------------------------------------------------
Au Ag Cu Pb Zn
Sample (g/t) (g/t) (%) (%) (%)
--------------------------------------------------
--------------------------------------------------

Reyna de Oro Mineralized Horizon
--------------------------------
LR-2 0.39 60.7 0.18 2.18 1.13
LR-5 0.25 46.1 0.06 0.02 2.05
LR-6 0.36 42.0 0.20 0.10 2.31
LR-37 0.85 183.0 0.06 0.64 3.70
LR-39 0.28 115.0 0.06 0.05 0.28

Veins
-----
LR-56 14.00 14.6 1.55 0.02 0.15
LR-51 9.92 85.2 0.10 9.58 19.90
RO-1 5.68 56.2 0.09 3.03 1.84
RO-2 5.01 45.5 0.13 5.68 3.42
GUAD 24.40 17.0 0.53 9.21 7.04
--------------------------------------------------


Complete tables of Phase I and II drill results, and a drill hole location map can be found at the following link: www.exmin.com/press/Drill_Res_Map_I_II.pdf

About EXMIN Resources Inc.

Through its wholly-owned subsidiary, EXMIN, S.A. de C.V., a corporation incorporated under the laws of Mexico, EXMIN Resources Inc. is currently focused on the exploration and development of precious metal properties of merit in the Sierra Madre gold belt of Northwestern Mexico.

Note: EXMIN Resources Inc. (EXMIN) has taken all reasonable care in producing and publishing information contained in this news release. Material in this news release may still contain technical inaccuracies, omissions or typographical errors, for which EXMIN assumes no responsibility. This news release may include certain "forward-looking statements" including but not limited to comments regarding predictions and projections. All statements, other than statements of historical fact, included in this news release, including, without limitation, statements regarding potential mineralization, exploration results, and future plans and objectives of EXMIN, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations are disclosed in documents filed from time to time with the regulatory authorities.

The TSX Venture Exchange has not reviewed this release and does not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • EXMIN Resources Inc.
    Karl J. Boltz
    President & CEO
    1-888-244-0304
    or
    EXMIN Resources Inc.
    Laney Stolle
    Investor Relations
    1-888-244-0304
    info@exmin.com
    www.exmin.com